This study examined local people’s perception of climate change and its impacts on their livelihoods, and identified key opportunities and threats arising in four Village Development Committees in the high mountains of Rasuwa District, Nepal. The local people are still heavily dependent on agriculture and livestock for their food security and livelihoods, despite the involvement of a significant proportion of households in non-agricultural income-generating activities, such as tourist services and labour work in other areas (outmigration).